Like Tree0Likes

Fountain Abandoned, Financial Mismanagement

Reply
Old 10-17-2011, 11:21 PM
  #51
Registered
 
PhantomChaos's Avatar
 
Join Date: Dec 2000
Location: Bell Canyon, CA
My Boats: Formula FASTech 382 Sunseeker Apache 45
Posts: 12,756
Default

Quote:
Originally Posted by Raylar View Post
There's a great country western song that has a line that says " You Can't Fix Stupid" No company or individual is going to be able to resurrect an operation, overhead and debt service of a perfromance boat building company such as this in our present market! To try and do so is just plain "Stupid"!

Best Regards,
Ray @ Raylar
+1 Reggie burried his beak way way way up the bank's a$$.
PhantomChaos is offline  
Reply With Quote
Old 10-17-2011, 11:34 PM
  #52
Custom Interiors & More
Platinum Member
Trade Score: (1)
 
XT-Innovator's Avatar
 
Join Date: Jun 2008
Location: Bucyrus, OH.
My Boats: 184 SS, 180 Islander, 220 Sport
Posts: 1,742
Default

Quote:
Originally Posted by compedgemarine View Post
It will take some time to sort out all the lawsuits, etc. but my understanding is that AMH still owns the Crystal River plant and the Sarasota plant so in theory Pro line and Donzi could be moved back to where they were and all the companies sold individually. that may make it possible for all to survive. unfortunatly none of the three are worth anything right at this moment. I realize some of you are loyal to one or the other and will defend the worth of each but a boat company in this market that has zero sales and rapidly aging molds and equipment is only worth the value of the property, and I think we all know what property values are now. I hope that it all gets sorted out and the companies find seperate buyers that can further the visions of what they should be but for the next year or so I think the lawyers are the only ones making a profit.
+1

I know of a property in my home town that was worth millions and actually sold for $250,000. It is all public record now.

At the time Baja Marine was closed it was the Sea Rays largest manufacturing plant, and was constantly being updated. I don't think any of us 400 employees from 2008 ever expect Baja to return to this plant, but it IS available for lease.

Much like RF Powerboats we started XT-Innovations before our last days with Baja Marine in 08', and I get "thank you's" almost every day from current Baja owners that are looking for answers, parts, links, interiors, canvas, or complete overall's. Knowledge is the one thing the corporate world cannot take away, and it sure helps to have ZERO debt.

XT
Attached Thumbnails
Fountain Abandoned, Financial Mismanagement-phpioqmcdpm.jpg   Fountain Abandoned, Financial Mismanagement-phpycllnjpm.jpg   Fountain Abandoned, Financial Mismanagement-phpz2j2lkpm.jpg  

XT-Innovator is offline  
Reply With Quote
Old 10-17-2011, 11:47 PM
  #53
Registered
 
Catastrophe's Avatar
 
Join Date: Apr 2010
Posts: 2,936
Default

Quote:
Originally Posted by Raylar View Post
There's a great country western song that has a line that says " You Can't Fix Stupid" No company or individual is going to be able to resurrect an operation, overhead and debt service of a perfromance boat building company such as this in our present market! To try and do so is just plain "Stupid"!

Best Regards,
Ray @ Raylar
Excellent point. Whole topic is beating a dead horse.
Its history. Its over.

Given the age of those concerned and the state of the world and local economy, let it go.

Its really not the end of the world if this entity doesnt rise from the ashes. Life goes on.

Remember the good times and quit lamenting what will never be.

Add it to the list if you wish of the other great boats that were and are not any longer.

Respect those that were involved for what they did and dont get angry or frustrated that it wont be repeated . It cant be.
Catastrophe is offline  
Reply With Quote
Old 10-18-2011, 07:07 AM
  #54
Registered
 
boatme's Avatar
 
Join Date: Jan 2001
Location: Spring Lake, Michigan
My Boats: Sold the Cig
Posts: 4,026
Default

Once again the intelegence of Reggie Fountain (love him or hate him) shines through

I have much respect for resiliant Reggie

Any one notice HE is still in the boat business

Last edited by boatme; 10-18-2011 at 07:34 AM.
boatme is offline  
Reply With Quote
Old 10-18-2011, 08:38 AM
  #55
Charter Member #232
Charter Member
 
Audiofn's Avatar
 
Join Date: Oct 2000
Location: Carlisle, MA USA
My Boats: 1979 Formula 302, 99 Formula 353, 81 Donzi 18 2+3 with 454
Posts: 18,379
Default

Quote:
Originally Posted by boatme View Post
Once again the intelegence of Reggie Fountain (love him or hate him) shines through

I have much respect for resiliant Reggie

Any one notice HE is still in the boat business
You mean the guy that owns the company that keeps trying to advertise on OSO for free?
__________________
Put your best foot forward!
Audiofn is offline  
Reply With Quote
Old 10-18-2011, 08:50 AM
  #56
Registered
 
Join Date: Jan 2004
Location: Chicago
My Boats: MYSTIC Catamarans, Center Consoles & Great Selection Of Used Boats
Posts: 1,035
Default Interesting Read

http://www.beaufortobserver.net/Arti...s-article.html



Fountain's future still adrift. Legal documents are posted in this article.

October 18, 2011

We, and other local media outlets, have reported that Fountain Powerboats has closed shop. That appears to be confirmed by a simple observation of but six vehicles in the company's employee parking lot on October 17, 2011. Calls from us to John Walker, Operations Manager, in returning earlier contacts via email, again went unreturned.

Mr. Walker, in Feedback comments to earlier articles in the Observer, in addition to criticizing what he characterized as "poor journalism," said on October 11, 2011 that: "Liberty still operates the facility in Washington and people were at work today."

Governor Perdue announced November 22, 2010 that Fountain, owned then by Liberty Associates, LLC, would receive a One N. C. Fund grant for $150,000 to create 411 "new jobs" in Beaufort County. Mr. Walker, in his comments, declared that Fountain/Liberty never received any of the money. This was apparently true because Fountain never created the jobs. We offered Mr. Walker equal space here to explain his story about what is going on with Fountain. He has never, to date, responded to that offer.

Now we learn that while some "people were at work today (October 11)" as Mr. Walker claimed, he was not entirely forthright. According to court filings, most of Fountain's employees were told on October 7 not to report back to work until further notice. In fact, those filings indicate that Mr. Walker himself had resigned from his position as production manager at the time he wrote the comment that there were "…people at work today…" and Liberty still operated the facility. See Page 15 of the Complaint.

Our offer to Mr. Walker still stands. We will provide him equal space here to explain his story about what is going on with Fountain.

Meanwhile, in the public interest we have secured copies of the legal filings and are making them available below. For those who do not want to wade through all of the legalese, the Complaint and the Motion to appoint a receiver, we think are the most significant to the employees and interested individuals in Beaufort County: Complaint

The Complaint alleges that Fountain is in default of it loans from First Capital (FCC), totaling over $61 million, that Fountain shut down the plant on October 7, certain Fountain principals engaged in "self dealing" including one entity leasing facilities to another entity for $74,000 per month (see Page 16 of the Complaint) and that Fountain failed to pay FCC for receipts from four boats and receipts for service and parts, totaling $947,129 (see page 17-18).

Fountain's motion to move from Beaufort Superior Court to N. C. Business Court.

Fountain's amended motion to move to Business Court.

Order assigning case to N. C. Business Court.

Motion to appoint a receiver. Presumably, the appointment of a receiver might allow the business to continue to function while the legal matters are settled. Sources tell us that it is highly likely a receiver will be appointed, but whether the receiver will start the business back up would probably depend on the financial viability of doing so. There are rumors—and we emphasize that we cannot confirm them—that Reggie Fountain is interested in taking over the business again.

Motion for expedited discovery.

Commentary

Fountain, owned by whatever legal entities, has been a major part of Beaufort County for years. It has, and still does either positively or negatively, impact many families in our community. Fountain, including under its Liberty owners, was quick to tout its receptiveness to applying for tax funds to help it "create jobs." Fountain and the Economic Development Commission have, in the past, talked about its economic impact on the community. And while Fountain now is a privately owned company we think the company has a duty and obligation to its employees, vendors and even the public in general to fairly disclose what is going on.

Mr. Walker obviously does not understand this. He wanted to focus on whether the One N. C. Fund grant was actually paid. That is beside the point. The point is that the community has a vested interest, cultivated and encouraged by Fountain itself over the years, in what is happening with Fountain. Mr. Walker and others responsible for Fountain should have been, and hopefully those who are involved going forward will be more transparent with the employees, vendors and people of Beaufort County than Mr. Walker has been. This community has supported Fountain and it deserves better.

Fountain's future still adrift. Legal documents are posted in this article.

October 18, 2011

We, and other local media outlets, have reported that Fountain Powerboats has closed shop. That appears to be confirmed by a simple observation of but six vehicles in the company's employee parking lot on October 17, 2011. Calls from us to John Walker, Operations Manager, in returning earlier contacts via email, again went unreturned.

Mr. Walker, in Feedback comments to earlier articles in the Observer, in addition to criticizing what he characterized as "poor journalism," said on October 11, 2011 that: "Liberty still operates the facility in Washington and people were at work today."

Governor Perdue announced November 22, 2010 that Fountain, owned then by Liberty Associates, LLC, would receive a One N. C. Fund grant for $150,000 to create 411 "new jobs" in Beaufort County. Mr. Walker, in his comments, declared that Fountain/Liberty never received any of the money. This was apparently true because Fountain never created the jobs. We offered Mr. Walker equal space here to explain his story about what is going on with Fountain. He has never, to date, responded to that offer.

Now we learn that while some "people were at work today (October 11)" as Mr. Walker claimed, he was not entirely forthright. According to court filings, most of Fountain's employees were told on October 7 not to report back to work until further notice. In fact, those filings indicate that Mr. Walker himself had resigned from his position as production manager at the time he wrote the comment that there were "…people at work today…" and Liberty still operated the facility. See Page 15 of the Complaint.

Our offer to Mr. Walker still stands. We will provide him equal space here to explain his story about what is going on with Fountain.

Meanwhile, in the public interest we have secured copies of the legal filings and are making them available below. For those who do not want to wade through all of the legalese, the Complaint and the Motion to appoint a receiver, we think are the most significant to the employees and interested individuals in Beaufort County: Complaint

The Complaint alleges that Fountain is in default of it loans from First Capital (FCC), totaling over $61 million, that Fountain shut down the plant on October 7, certain Fountain principals engaged in "self dealing" including one entity leasing facilities to another entity for $74,000 per month (see Page 16 of the Complaint) and that Fountain failed to pay FCC for receipts from four boats and receipts for service and parts, totaling $947,129 (see page 17-18).

Fountain's motion to move from Beaufort Superior Court to N. C. Business Court.

Fountain's amended motion to move to Business Court.

Order assigning case to N. C. Business Court.

Motion to appoint a receiver. Presumably, the appointment of a receiver might allow the business to continue to function while the legal matters are settled. Sources tell us that it is highly likely a receiver will be appointed, but whether the receiver will start the business back up would probably depend on the financial viability of doing so. There are rumors—and we emphasize that we cannot confirm them—that Reggie Fountain is interested in taking over the business again.

Motion for expedited discovery.

Commentary

Fountain, owned by whatever legal entities, has been a major part of Beaufort County for years. It has, and still does either positively or negatively, impact many families in our community. Fountain, including under its Liberty owners, was quick to tout its receptiveness to applying for tax funds to help it "create jobs." Fountain and the Economic Development Commission have, in the past, talked about its economic impact on the community. And while Fountain now is a privately owned company we think the company has a duty and obligation to its employees, vendors and even the public in general to fairly disclose what is going on.

Mr. Walker obviously does not understand this. He wanted to focus on whether the One N. C. Fund grant was actually paid. That is beside the point. The point is that the community has a vested interest, cultivated and encouraged by Fountain itself over the years, in what is happening with Fountain. Mr. Walker and others responsible for Fountain should have been, and hopefully those who are involved going forward will be more transparent with the employees, vendors and people of Beaufort County than Mr. Walker has been. This community has supported Fountain and it deserves better.
TeamShogren.com is offline  
Reply With Quote
Old 10-18-2011, 08:57 AM
  #57
Registered
Trade Score: (4)
 
Join Date: Jul 2007
Location: Oneida Lake NY
My Boats: 38 Fountain Lightning 575sci xr
Posts: 3,617
Default

Quote:
Originally Posted by Audiofn View Post
You mean the guy that owns the company that keeps trying to advertise on OSO for free?
Business 101, why pay money for something you can get for free?

Word has it he got his hair piece for free as well, and one for his dog!

4bus is offline  
Reply With Quote
Old 10-18-2011, 09:20 AM
  #58
Registered
Trade Score: (2)
 
Join Date: Aug 2011
Location: Port Richey, Florida
My Boats: 1978 Cigarette 24 - APBA A-46 "Lap Dancer", 1989 Scarab Excel 28
Posts: 725
Default

Quote:
Originally Posted by Audiofn View Post
You mean the guy that owns the company that keeps trying to advertise on OSO for free?
I thought he was one of the handful of Offshore Legends (you know people who actually built and did something tangible in the sport) that posts here and in doing so gives this little internet discussion forum some legitimacy???

Not that anyone deserves a free ride, but honestly some of you you guys forget to stop and think how lucky we are to have the real deal guys like Mr Fountain and many others actually posting here and being a part of this forum....very few other discussion forums in other types of hobbies/sports are so lucky.

Back to the topic, it is a no-brainer when there are 3 or more corporations trying to profit from one business venture....either it will fail...or it will succeed by making ungodly amounts of profit that should have been passed on to their clients via more realistic product pricing and/or added services.

A single business should support one "corp entity"...If(big IF) it can support 3 or more...well, the value of the product sold is over inflated and will catch up with them eventually when there is a "price check".....hmmm... sounds sorta familiar.
78CIG24 is offline  
Reply With Quote
Old 10-18-2011, 09:27 AM
  #59
Registered
Trade Score: (2)
 
Join Date: Aug 2011
Location: Port Richey, Florida
My Boats: 1978 Cigarette 24 - APBA A-46 "Lap Dancer", 1989 Scarab Excel 28
Posts: 725
Default

Quote:
Originally Posted by 4bus View Post
Business 101, why pay money for something you can get for free?

Word has it he got his hair piece for free as well, and one for his dog!
You should print out this post and show it to your parents, or children and friends as an example of how mature and respectful you are to other people...and how well your parents raised you to treat other people in a public setting.

Bravo, you just became a Poster Child for bad form!! Enjoy that view in the mirror everyday!
78CIG24 is offline  
Reply With Quote
Old 10-18-2011, 09:34 AM
  #60
Charter Member #232
Charter Member
 
Audiofn's Avatar
 
Join Date: Oct 2000
Location: Carlisle, MA USA
My Boats: 1979 Formula 302, 99 Formula 353, 81 Donzi 18 2+3 with 454
Posts: 18,379
Default

Quote:
Originally Posted by 78CIG24 View Post
I thought he was one of the handful of Offshore Legends (you know people who actually built and did something tangible in the sport) that posts here and in doing so gives this little internet discussion forum some legitimacy???

Not that anyone deserves a free ride, but honestly some of you you guys forget to stop and think how lucky we are to have the real deal guys like Mr Fountain and many others actually posting here and being a part of this forum....very few other discussion forums in other types of hobbies/sports are so lucky.
He is welcome to share his knowledge as much as he wants and I know the board members are greatfull. There are plenty of paying advertisers that do the same. Why should he get a "free ride"? The entity that keeps puting up threads advertising currently has zero posts however because they have all been advertisments so......
__________________
Put your best foot forward!
Audiofn is offline  
Reply With Quote
Reply



Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On



All times are GMT -5. The time now is 05:37 AM.


Copyright 2011 OffShoreOnly. All rights reserved.